In the contemporary society where a plethora of companies are competing to control the market and gain a competitive edge over their rivals, product differentiation and competent marketing strategies are salient in not only increasing sales but also ensuring the success of the product. Product offering in its definitive terms refers to the total offer or presentation of the product to the customers. The total offer is inclusive of not only the product itself but also additional but fundamental facets that proffer substantial value to the customers. These facets include quality and competency of service, technical support, availability or ease of access, as well as convenient delivery. This, in essence, as Linton (2018) asserts, meets customers’ broader needs better than other options or competing products.
On the other hand, business and managers are constantly bombarded with making decisions regarding what mechanism and marketing techniques will increase the popularity of a product thus attracting more customers, especially in an era where the business environment is driven by the mantra of giving the customers what they want (Evans & Webster, 2007). As such, distribution channels, more so when effectively implemented come in handy in popularizing the product brand thereby bolstering the sales. Whereas some firms resort to offering different versions of the same product as a means of catering for all customer needs, some maintain a single product and define an optimal distribution channel such as Omni-channeling or multi-channeling. To this end, a distribution channel is descriptively a chain of intermediaries through which service goes through to eventually reach the consumer or customer. The distribution channel could include retailers, wholesalers, the internet, as well as distributors. It is at this point that strategies such as Omni-channeling come to play.
Delegate your assignment to our experts and they will do the rest.
However, the discourse of the paper will significantly focus on the Push Strategy which by definition refers to taking the product directly to the customer through whatever means and ensuring that the customer is aware of the product or brand during purchase. As such, the paper will discuss and incorporate this strategy particularly the discourse on product offering which mainly focuses on product identification as well as the description and the distribution channel. In other words, the paper seeks to describe and detail the key facets of the identified product and articulate how it will be distributed via the Push Strategy described above using the DB Schenker global logistics provider.
Product Offering
The identified product for offering to the market and consumers or customers is the iMediPet Health Monitoring dog color. According to the pet industry statistics, significantly over half of the United States households (approximately 80 million homes) own pets. With more than 300 million pets in the United States alone, business in the pet industry is ensured to boom and attain success. Further statistics from the American Pet Products Association (APPA) suggest that revenue in the pet industry has been on an upward trend for more than twenty years. 2015 statistics indicated that revenue in the industry was expected to reach heights of 62.75 billion dollars by 2016 and the trend has since increased steadily (Franchise Help, 2015). At the center of the trend is ‘man’s best friend’ (the dog) and the related businesses. Research indicates that a combination of the owner’s awareness of the pet’s health as well as innovative design underpins the competitive environment.
Description
The iMediPet Health Monitoring dog collar is centrally placed as a technologically innovative product that is parallel to the European market demand for data analytics in the veterinary medical field. The dog collar is essentially a subset of the MediPace Inc., a global corporate founded in 1960 that conforms to its founding mission of promoting quality healthcare products and services. Its ingenuity and innovativeness stem from the fact that the product is wireless, smart, and easily wearable. The fact that the product is wireless means that a downloadable application on the phone can control it thus accurately able to monitor the pet’s crucial signs. These vital signs include pulse, respiration, and temperature which thanks to the constant wireless update, are monitored in real-time. In essence, this optimizes the health outcomes. The phone application that controls the device is downloadable from the company’s (MediPace Inc.) product website. The dog collar is as well lightweight and stylishly designed with offerings in various colors and sizes. The colors include pink, black, and blue whereas the sizes include small, medium, large and extra-large.
Keys to Success
According to 2017 statistics, the European pet care market was expected to grow to 36.4 billion by the end of the same year via stable and moderate growth, (EuroDev, 2017). This is indicative of the potential success associated with the industry. Harvey (2017) ascertains that the competitive global market for pet care products as well as devices related to health monitoring is parallel to the emerging European trends for collaborative innovation for novel services and products that are topnotch and address specific market niche. This innovation has mainly been propelled by the humanization of pets which substantially refers to treating of pets as family members.
To this end, the iMediPet dog collar taps into this facet not only through its nimble innovativeness but also its ingenious design that monitors and alerts owners of potential illnesses. To this end, the early detection of illnesses allows for preemption of the illness thereby bolstering life expectancy. An additional factor that is key to the success of the product is the kind of data that it monitors; other than the health indicators, additional data including drinking, eating as well as sleeping patterns are monitored as indicators of wellness. Furthermore, this data is uploaded directly and wirelessly to the mobile phone application. Thus, even for a busy pet owner who wants to maintain the health of his or her pet, it is achievable.
Moreover, the recorded health statistics can easily be provided to the veterinary doctor thereby easing evaluation of treatment as well as the provision of diagnostic information. Perhaps the most fundamental facet demonstrating the success of the product is the fact that it is lightweight. In addition, the iMediPet Health Monitoring dog collar is stylishly designed and offered in three different colors; pink, black, and blue. Other than the variance in color, the collar also comes in different sizes; small, medium, large, and extra-large to cater for different dog sizes.
Critical issues
A profound and perhaps the most apparent issue or weakness of the iMediPet health monitoring dog collar is the fact that it is a relatively new product in the market. To this end, the company (MediPace Inc.) lacks an existing and established customer base in this sector. According to the assertions of Burlington (2014), the ability to access real-time data regarding the pet’s vital signs substantially has the potential of saving the pet’s life. Nevertheless, this fundamental facet is impugned by the fact that the product is new and untested in the public domain and thus customer confidence might waiver. In this regard, as a new and untested brand in the market, the product launch, as well as the branding strategy, might be costly to the company thereby substantially increasing the marketing budget.
An additional issue that directly affects the product is the existence of other similar products on the market such as PetPace, FitBark, and Waggit. To this end, the public or consumers might get satisfied with such competing products and devices already in the market in lieu of iMediPet Health Monitoring dog collar. Additionally, since the product is wirelessly controlled and displays the statistics or data on the phone, a technical error in the communication between the two devices could significantly culminate in erratic readings and lack of proper monitoring of the pet’s health. This could detrimentally lead to loss of life or other debilitating injuries.
Product Life Cycle
The iMediPet Health Monitoring dog collar is substantially durable. The silicon material in the collar allows the product to last for six months straight withstanding minimal to moderate external force incurred from the daily activities of the dog. Moreover, as a product of the MediPace Inc., it is a derivative of the human health monitoring device following the same technology and innovativeness. As such, the similar technology used in the dog collar will ensure longevity and meet the long-term use of the pet as well. Following a similar product lifecycle (introduction and growth) of the human health monitoring device, the iMediPet Health Monitoring dog collar is in the introduction stage and once released to the market, it is projected to exhibit an upward trend in growth. However, on product maturity, the dog collar is expected to experience a decrease in sales. Nevertheless, an upgrade of the product will ensure a consistent collection of data.
Points of Parity
As previously mentioned, the product faces competition from specific products such as PetPace, FitBark, and Waggit. Since all of these products are meant to more or less serve the same purpose, the iMediPet health monitoring dog collar shares some common features or properties with the rest of the devices in the industry. These common aspects of the products include GPS tracking, activity monitoring such as sleep or diet, as well as user-friendly monitoring software. An additional point of parity is that the transmitting or monitoring device is embedded in the collar which is a common facet of all the devices and products mentioned above.
Points of Differentiation
Product differentiation is a fundamental phenomenon that essentially distinguishes a particular product as well as marketing strategies from others. According to Kelchner (2018), differentiation proffers competitive advantage by creating value, brand loyalty, as well as the creation of the perception of the non-existence of a similar product. A salient point of differentiation that sets the iMediPet dog collar apart is the technology and ingenuity involved in its development. Fundamentally, the dog collar is designed from a human care organization, and as such, its design is derived from the human health monitoring technological devices. To this end, given the success of the human devices, the consumers are more likely to put confidence in the product to competently monitor and record the vital signs of their pets as opposed to other devices. More specifically, the collar’s ability to detect the slightest fluctuation in the heart rate of the pet particularly stands out as the major differentiating factor.
Distribution Channel
As discussed previously, a distribution channel is descriptively a chain of intermediaries through which service goes through to eventually reach the consumer or customer. Moreover, this distribution channel could make use of retailers, wholesalers, the internet, as well as distributors. However, the iMediPet Health Monitoring dog collar will be popularized through the push strategy which descriptively refers to holistically taking the product to the customer through whatever available means, and in the process ensuring that the customer is aware of the product at the point of purchase. As such, the guiding mission for the distribution and popularization of the product conforms to the fact that customer satisfaction is the epitome of company’s success.
The mission is to ensure that the customers feel confident about the product and its reliability to provide not only accurate but also timely data regarding the pet’s health at the touch of their mobile devices. This will be in tandem with the company’s motto; Healthy pets make for happy customers. The vision of this marketing strategy is to secure a future where every dog owner is adept with the life aspects and vitalities of their dog as they change and can take necessary preemptive measures to ensure their health as per the changes.
Demography
With regards to demography, the target market for the iMediPet health monitoring dog collars are the health-conscious pet owners aged between 25 to 60 years. The reason for the above age bracket is the fact that the average age for the Netherlands is 42.1 years (Statista, 2018) while that of Belgium is 41.3 years (Statista, 2018). However, this is not to exclude willing and able customers or buyers from other age groups. Moreover, the demographic population targeted is of the middle class of both Netherlands and Belgium. The targeted middle class of these countries is inconsiderate of the gender. Indeed, both male and female alike form the potential market. Critical aspects that lead to the targeting of this population include the willingness to spend money and time for the care of their animals, readiness to consult veterinary products as preemptive measures rather than treatment, as well as their eagerness to visit the veterinarians for medical checkups and updates regarding their pets. Specifically, the target group for the product is the millennials who take pride in owning dogs as pets and who are busy with working to physically visit veterinary clinics for medical checkup and updates regarding their dogs.
However, for the products to reach the above population, it has to be shipped via sea in shipping containers from Malaysia where they are manufactured to the port of Amsterdam in the Netherlands. From this point, the collars will be delivered via air to the Belgium distribution centers and by land to the Netherlands distribution centers. From the distribution centers, the push strategy will come into play, whereby the collars will be sold or delivered directly to customers as well as pet stores. Additionally, the collars will be delivered to Amazon stores, the largest online retailer via land as well as air transport. In essence, shipping by sea is preferred in this case for the simple reason that it is cheap and more secure, especially for heavy cargo in containers. As Truu (2010) corroborates, sea transport is significantly suitable for delivering bulky goods originating from distant suppliers.
To make the distribution and transportation of the products successful, DB Schenker, a leading global logistics service provider will be contracted. Incorporating DB Schenker as the enabler of the distribution channels is essential because the company provides holistic transportation services in terms of land, ocean freight, as well as worldwide air transport. Furthermore, DB Schenker ensures security through their easy-to-use eSchenker tracking application that provides real-time updates regarding the location and status of the shipment as well as the projected time of delivery (DB Schenker, 2018).
Indeed, the use of Omni-channel retailing will be an essential aspect of the distribution channel and the push strategy as a way of covering all the customer bases. Omni-channel retailing is essentially a modernized commercial approach that ensures cohesive ‘customer experience for customers through multiple channels such as the internet or online stores as well as physical stores (Wallace, 2018). Considering the fact that the median population for the target market is 41 years, Omni-channeling, especially online stores, will fundamentally effective. This old population is more likely to be comfortable to look-up the products online and order from the online stores rather than visit a physical mortar-and-brick store due to their advanced age. Moreover, due to the advancement of mobile technology, the aging target population are more likely to hear and interact with the product online than physically.
Nevertheless, the push strategy maintains that there should be direct sales to the customers, a crucial part of the Omni-channeling. To this end, the push strategy employed in the marketing strategy of the product will involve face-to-face direct sales and advertisements of the product in the streets outside the stores. In addition, the direct-sales agents will target busy streets and parks where they are more likely to interact with most people. Since the aim of push marketing strategy is to directly reach as many individuals as possible as means of improving sales, one essential aspect to be incorporated into the approach is the use of push notifications. As Callahan (2015) ascertains, brands that are successfully able to incorporate push notifications into their marketing strategy are more likely to witness better ROI and customer engagement as opposed to those that do not. This can be achieved through online retailing via Amazon.com.
Conclusion
In a contemporary society where a plethora of companies are competing to control the market and gain a competitive edge over their rivals, product differentiation and competent marketing strategies are salient in not only increasing sales but also ensuring the success of the product. Product offering can thus be defined as the total offer or presentation of the product to the customers. On the other hand, a distribution channel is a chain of intermediaries through which a service goes through to eventually reach the consumer or customer. As described in the paper, iMediPet Health Monitoring dog collar is an essential app for not only monitoring but also recording the vital signs for the dog. The collars come in different colors and sizes; blue, pink, and black; small, medium, as well as the extra-large size.
The key successes of the dog collar are its innovative design and technology which take after the phenomenal human health monitoring devices developed by MediPace Inc. The demographic population targeted for the product are middle-class Belgium and Netherlands residents aged between 25 to 60 years. The reason behind the identification of this group is based on the fact that, among other reasons, the individuals are willing to spend money and time caring for their pets. As such, distribution to the customers will be through a combination of Omni-channeling strategy as we as the push strategy. This includes online retailing through Amazon, physical stores, as well as face-to-face sales as part of the direct sales. This will be achieved through the contraction of DB Schenker, a logistics service provider. Ultimately, despite its first-time introduction to the market competing with its peers such as Waggit, FitBark, and PetPace, iMediPet dog collar is set to revolutionize the pet industry as well as their healthcare. This is all due to its superior design and ingenuity, and as such, dog owners will not have to worry about missing certain signs and symptoms regarding their dog’s health thus making their relationship more cohesive.
References
Burlington, M.A. (2014). New Smart Tech Collar Allows Veterinarians to Continuously Monitor Pets’ Health and Track Vital Signs. Cision. Retrieved from https://www.prweb.com/releases/petpace-dog-cat/pet-health-monitor/prweb11952934.htm
Callahan, S. (2015). Benefits of Push Marketing. Social retail. Retrieved from http://www.digitalsocialretail.com/benefits-of-push-marketing/
DB Schenker. (2018). Contract Logistics. Retrieved from https://www.dbschenker.com/global/products/contract-logistics
Eurodev. (2017). Infographic: European Pet Industry. Retrieved from https://www.eurodev.com/infographic-european-pet-industry/
Evans, D.S. & Webster, K.L. (2007). Designing the Right Product Offerings. Massachusetts Institute of Technology. Retrieved from https://sloanreview.mit.edu/article/designing-the-right-product-offerings/
Franchisehelp. (2018). Pet Care Industry Analysis 2018 - Cost & Trends. Retrieved from https://www.franchisehelp.com/industry-reports/pet-care-industry-analysis-2018-cost-trends/
Kelchner, L. (2018). The Advantages of a Product Differentiation Strategy. Hearst Newspapers. Retrieved from http://smallbusiness.chron.com/advantages-product-differentiation-strategy-17691.html
Linton, I. (2018). What Is an Offering in Marketing? AZ Central. Retrieved from https://yourbusiness.azcentral.com/offering-marketing-7598.html
Statista (2018). Netherlands. Retrieved from https://www.statista.com/statistics/276734/median-age-of-the-netherlands-population/
Statista. (2018). Belgium. Retrieved from https://www.statista.com/statistics/328371/average-age-of-the-population-in-belgium/
Truu, S. (2010). Advantages and Disadvantages of Sea Transport. Ekool. Retrieved from http://ekool.tktk.ee/failid/H/transport_E/advantages_and_disadvantages_of_sea_transport.html
Wallace, T. (2018). The Complete Omni-Channel Retail Report: What Brands Need to Know About Modern Consumer Shopping Habits in 2018. BigCommerce. Retrieved from https://www.bigcommerce.com/blog/omni-channel-retail/
